I have an Arduino UNO and also prepared a Parallel programmer from the http://arduino.cc/en/Hacking/ParallelProgrammer place and bought 2 ATmega 168 available here, so wanted to put a Bootloader into it so that after the Bootloader is in i could put the 168 in the space for 328 on UNO and put sketches into it,will it happen? ,Any guidlines would be much appreciated!

also is it possible to directly connect pins( absolutely nothing in between) with the atmega168 of the parallel programmer to put bootloader or sketches into it?

No i haven't disabled the auto-reset!, The thread here shows that just insert a resistor 120ohm in the reset and 5volt pins and you have clogged auto reset but then how the 5v to the chip will be flowing should i give it external power then?.

If you have a TTL serial cable (~MAX232) you might try that and bypass the FTDI chip when loading. This works for me. Just connect Tx, Rx, Gnd, and VCC. You won't get a reset that way. It might be better than trying to cluge the reset pin.

It's a shame that this reset issue isn't mentioned in the Arduino ISP docs or sketch. It's essential that a reset shouldn't take place when loading a sketch using the Arduino ISP. /rant

"Data is not information, information is not knowledge, knowledge is not understanding, understanding is not wisdom."~ Clifford Stoll